ConAgra Foods said it will acquire Ralcorp Holdings Inc for about $5 billion to boost its presence in the private label food market.

Ralcorp shareholders will get $90 per share in cash, representing a premium of 28.2 percent to the stock's Monday close.

Ralcorp last year rejected several ConAgra offers, including a final $94 per share bid, and chose instead to spin off its Post cereal business.

(Reporting by Siddharth Cavale in Bangalore)